Home / Knowledge / News / Apparel/Garments / Rise in operating costs impacts Global Brands H1 EBITDA
Rise in operating costs impacts Global Brands H1 EBITDA
22
Aug '14
A rise in operating costs negatively impacted EBITDA in the first six months of 2014 at Global Brands Group, a Hong Kong based marketer of branded apparel, fashion accessories and lifestyle products.

EBITDA in the first half of 2014 totalled to US$34 million as compared to US$44 million in the first half of 2013, which was also a key factor contributing to a core operating loss of US$63 million in the period.

Global Brands, which is spin-off of the branded business of global supply chain specialist Li & Fung clocked a turnover of US$1,349 million for the six months ended 30 June, 2014 compared to US$1,330 million for the same period in 2013.

Although the global macro economy continued to show steady improvement during the first six months of 2014, extreme weather in the US, its largest market, affected sales volumes in the first quarter, Global Brands said.

Operating costs increased by 11.8% to US$463 million in the six months to June 2014, mainly from investments related to acquisitions and new brands added to its portfolio, such as Cole Haan, Quiksilver, Spyder, Juicy Couture and Aquatalia.

Additional factors impacting Global Brands’ first-half results included non-recurring expenses it incurred in relation to its spin-off and listing apart from the hike in operating costs associated with acquisitions made in first six months of 2014.

CEO Dow Famulak said, “We achieved solid results across both our Licensed and Controlled brand segments, primarily due to the fact that we have a well-balanced portfolio that covers a broad spectrum of product categories.”

“On the Controlled Brands side, we have a number of powerful brands, such as Frye, Spyder and Juicy Couture, where we see significant potential and from which we anticipate considerable positive impact on the Group’s turnover and profitability in future periods.”

Fibre2fashion News Desk - India


Must ReadView All

Apparel/Garments | On 23rd Sep 2017

AAFA urges negotiators to preserve TPLs in NAFTA

The American Apparel & Footwear Association (AAFA), an alliance of...

Textiles | On 23rd Sep 2017

SIMA urges Centre to re-look duty drawback rates

he Southern India Mills’ Association (SIMA) has appealed to the...

Textiles | On 23rd Sep 2017

PKR 690.65-mn budget for Pakistan Cotton Committee

The Pakistan Central Cotton Committee (PCCC) recently approved a PKR...

Interviews View All

Amit Jain
Shingora Textiles Ltd

‘In terms of fabric, the fastest growing category for us is a blend of...

Deepak Jain
Baggout

We are using Facebook and Instagram to promote ourselves

Karel Williams
Dow Microbial Control

'Silvadur is most rapidly adopted in areas where hygiene-conscious and...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Divvya and Nidhhi Gambhir
Walnut

<b>Divvya and Nidhhi Gambhir</b> started their career with the launch of...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

September 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
74.5%
No
12.8%
Skip
12.8%

Total Votes: 47

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
61.7%
No
25.5%
Skip
12.8%

Total Votes: 47

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.2%
No
6.4%
Skip
6.4%

Total Votes: 47

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
70.2%
No
10.6%
Skip
19.1%

Total Votes: 47


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search